Reported Earlier, PNM Resources Prices $500M 5.75% Junior Subordinated Convertible Notes Due 2054
Portfolio Pulse from Benzinga Newsdesk
PNM Resources has priced $500 million in 5.75% junior subordinated convertible notes due 2054. These notes are unsecured and will rank junior to PNM Resources' existing and future senior debt. Interest will be paid semiannually, with the company having the right to defer payments.
June 05, 2024 | 6:33 am
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PNM Resources has issued $500 million in 5.75% junior subordinated convertible notes due 2054. These notes are unsecured and rank junior to existing and future senior debt. Interest will be paid semiannually, with the company having the right to defer payments.
The issuance of these convertible notes will provide PNM Resources with additional capital, but the junior and unsecured nature of the notes means they are subordinate to existing and future senior debt. This could be neutral in the short term as it strengthens the company's capital base but also increases its debt obligations.
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